EUR/USD Faces Make-Or-Break Moment With Reversal Candlesticks Absent
- EUR/USD Technical Strategy: Pending Short
- Doji Candlesticks Indicates Indecision Near 1.3340
- H4 Chart Offered An Early Warning of A Pullback
EUR/USD has succumb to renewed selling pressure after a Doji on the daily suggested indecision from traders near overhanging resistance. This sets the pair up for a make-or-break moment as it threatens a break of the 1.3340 floor. A daily close below the noteworthy barrier would open the door to a knock on the September 2013 lows near 1.3100.
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour chart offered an advance warning of EUR/USD’s intraday retreat. A Bearish Engulfing formation signaled the potential for a retest of the recent range lows. The absence of a bullish reversal signal at the key hurdle casts doubt over the potential for a recovery over the session ahead.
EUR/USD: Bearish Candlestick Pattern Indicated Correction Potential
4 Hour Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
By David de Ferranti, Market Analyst, DailyFX
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